The American Petroleum Institute (API) has released a comprehensive five point policy roadmap aimed at ensuring US leadership in the energy sector, protecting consumers, and reducing inflation. This roadmap is written for President elect Trump and the 119th Congress, outlining strategic actions to utilize American energy resources and maintain its position as a global energy leader.

1、 Protecting consumers' right to choose

The primary task of APIs is to ensure consumer choice in the energy market. They advocate for the repeal of the Environmental Protection Agency's (EPA) Exhaust Emissions Regulations, which require a significant shift towards electric vehicles by 2032. They believe this limits options and drives up costs.

Similarly, API also opposes California's Advanced Clean Vehicle II regulation, which requires electric vehicle sales to reach 100% by 2035. They believe that the regulation excessively restricts choices and increases dependence on foreign mineral supply chains, which are crucial for electric vehicle production.

API also calls for the repeal of the Corporate Average Fuel Economy (CAFE) standards that align with California's electric vehicle goals, fearing that these standards will increase costs and narrow consumer choices. The stance of API is that, given the current infrastructure and market limitations, regulations for electric vehicles are still too early. On the contrary, APIs support a technology neutral approach that allows consumers to choose the vehicle that best suits their needs without restrictive regulatory requirements.

2、 Enhance geopolitical power

The second priority task is to emphasize the strategic role of US energy exports in global stability. API urges the US Department of Energy (DOE) to lift the policy of suspending liquefied natural gas (LNG) licenses, which they believe is detrimental to US influence overseas.

API believes that opening up US oil and gas exports to global markets will support allies and offset the energy influence of hostile countries. API emphasizes that US energy exports are an effective tool for strengthening alliances and reducing dependence on unstable foreign energy.

3、 Utilize natural resources

The third priority of API is to maximize the utilization of natural resources on federal land and waters in the United States. They called for the development of a predictable five-year offshore leasing plan to accurately reflect global energy demand and the abolition of restrictive onshore leasing regulations that limit energy development investment.

In addition, API suggests working with Congress to repeal EPA's methane fees under the Inflation Reduction Act, which they believe adds unnecessary financial burden.

API believes that by reforming leasing regulations and addressing high regulatory costs, the United States can strengthen long-term energy security and economic growth by increasing domestic energy production.

4、 Reforming the licensing system

The fourth goal of API is to simplify the licensing process for energy projects. They call for comprehensive reforms to make this process transparent, predictable, and efficient.

Specifically, API advocates for the repeal of recent Biden era modifications to the National Environmental Policy Act (NEPA), claiming that these modifications have brought additional delays and uncertainty.

API believes that an optimized licensing system will not only benefit the energy industry, but also other infrastructure dependent industries, thereby driving broader economic growth and creating employment opportunities. According to the API, simplifying the licensing process will help maintain development timelines and cost control.

5、 Promote reasonable tax policies

The final focus of the API roadmap is tax policy. They support retaining the 21% corporate tax rate to ensure the global competitiveness of the United States.

In addition, the API seeks to maintain and extend key tax provisions, such as immediate deduction of intangible drilling costs and 100% bonus depreciation, to support infrastructure investment. They also advocate retaining international tax provisions to protect companies from double taxation on foreign income.

The goal of API is to create a stable and favorable tax environment, attract domestic and international investment in American energy, promote innovation, and drive economic growth.